Trive Capital has acquired the assets of Creston, Iowa,-based Wellman Dynamics Corp, an aerospace supplier. No financial terms were disclosed for the transaction that was done in accordance with Section 363 of the U.S. Bankruptcy Code.
May 15, 2018
DALLAS, Texas and CRESTON, Iowa
Trive Capital (“Trive”), the Dallas-based private equity firm, through its affiliate WDC Acquisition LLC (“WDC” or the “Company”), has acquired substantially all of the assets of Wellman Dynamics Corporation pursuant to Section 363 of the U.S. Bankruptcy Code. The Company, located in Creston, Iowa, is an aerospace supplier known for manufacturing large scale, complex magnesium and aluminum castings for the defense and commercial aerospace markets and other industrial segments.
The sale closed May 7th, 2018.
“This is a really big win for all of the Company’s stakeholders. Our customers include many of the world’s leading producers of military and commercial helicopters, jet engines, rockets and missile systems,” stated Jim Mahoney, CEO of the new company, WDC. “They rely upon us to supply some of the largest and most complex sand castings in the world. After years of neglect, the business is finally positioned to re-establish itself as a world class aerospace foundry as new capital investment is made. This investment will not only serve to revitalize a sole source supplier for many critical helicopter programs in the US military arsenal, it forecasts to preserve millions in annual payroll in rural Iowa.”
Wellman Dynamics has been a long-standing member of the Creston, Iowa community since 1965 and employs approximately 350 people.
“We couldn’t be more pleased to bring this long bankruptcy process to a close for WDC and its employees,” stated Blake Bonner, a Partner with Trive Capital. “As new owners, we plan to make WDC a benchmark for the industry, its customers, and most importantly, the Creston community. We have significant investment planned to modernize the local operation, giving it the capabilities needed to return to sustainable profitability over the long-run. We’re hopeful we can bring stability to a community that has experienced the loss of other manufacturing jobs in recent years.”
CEO Jim Mahoney added, “Trive’s operating principles, investment strategies and established record of value creation will be essential as we work together to focus on growth and facility modernization, assuring a constructive long-term presence in the local community. Complemented by the strengths of Trive, WDC will continue to focus on being a premier supplier and partner to the more demanding OEMs in the aerospace market.”
Trive Capital is a Dallas, Texas based private equity firm managing over $2 billion in capital. Trive focuses on investing in what it sees as strategically viable middle-market companies with the potential for transformational upside through operational improvement. We seek to maximize returns through a hands-on partnership that calls for identifying and implementing value creation ideas. The Trive team is comprised of seasoned investment professionals who have been involved in over 60 middle-market transactions representing in excess of $5 billion in revenue across Trive’s targeted industry sectors and situations.